Our BEV study using ADAC data for Germany has looked at a range of different vehicles with different levels of Power
And it has included some ICEV vehicles chosen by ADAC for comparison to the Tesla Model 3
It shows that BEVs are now available in Germany at lower price points than ICEVs with the same Power rating
Tesla Model 3 has the lowest Price at its respective Power points
The most popular BEVs are relatively low-powered compared to the Tesla Model 3 variants SR+, LR and P
The biggest Cost Of Ownership is the Depreciation of the vehicle
And ADAC has typically estimated the 5-year Depreciation of the BEV study vehicles to be in the range of 50-60%
This is noticeably less Depreciation than ADAC estimates for the comparable ICEVs that we studied, which were typically expected to suffer around 70% Depreciation over a 5-year ownership period with 15,000 km per year
So ADAC expects BEVs to HOLD THEIR VALUE BETTER THAN ICEVs
Fixed Costs are basically Insurance and Taxes
And these monthly costs tended to trend upwards with the higher-powered vehicles
- although there were curious anomalies
The Cost of Ownership per Kilometre does not increase dramatically with Motor Power
And as BEV manufacturers improve their drivetrains we may see customer demand for higher Power without significant increases in Price
BEVs clearly have the potential for higher Power than ICEVs
Power Consumption per 100 km relative to rated Motor Power varied widely
- with the Tesla Model 3 setting the efficient frontier across each of its variants
This suggest that Competitors still have some way to go in terms of drivetrain developement and efficient vehicle design
The biggest effect of this shows up in the kilometre Range of the sample vehicles
- which we show here calculated from the Battery Size divided by the reported Power Consumption
Not surprisingly, better Acceleration correlates directly with higher Motor Power
The Tesla Model 3 has the highest Acceleration at each of its Price points
- and spending more money on other BEVs does not get you more performance with the reference base models shown here
But BEVs are outperforming ICEVs at comparable price points
For this last chart, we have used Price / Power to define the horizontal axis
And we are showing performance in the form of Acceleration as the vertical axis
We have also included the Tesla Model S, Model X and Model Y
The message is clear :
TESLA IS SELLING PERFORMANCE
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The Blue line on this chart gives us a very simple way to think of the economics of the Tesla Model 3 :
Market Price = €20,000 + €100 x Power in kW
- and note that this number INCLUDES Tariffs and Delivery Charges
Clearly this is just an observed empirical outcome
- but we can impute various things from it
1. The launch of production at Giga Grünheide should allow Tesla to reduce prices by more than 10% just from the elimination of Tariffs and reduction of Delivery Charges
2. This could imply a revised formula for an equivalent European-made vehicle, before counting any other savings :